1. What is PPh 21?

Definition: PPh 21 (Pajak Penghasilan Pasal 21) is income tax on salaries, wages, and other compensation paid to employees in Indonesia.

Purpose: This calculator helps individuals and employers estimate the income tax amount based on gross income and the effective tax rate.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• PPh 21 — Income tax amount (IDR)
• Gross Income — Total income before tax (IDR)
• TER — Effective average tax rate (decimal)

Explanation: The gross income is multiplied by the effective tax rate to calculate the estimated tax amount.

3. Importance of PPh 21 Calculation

Details: Proper tax calculation ensures compliance with Indonesian tax laws, accurate salary payments, and proper financial planning.

4. Using the Calculator

Tips: Enter the gross income in IDR and the effective tax rate (default 0.05 or 5%). The TER should be between 0 and 1.

5. Frequently Asked Questions (FAQ)

Q1: What is the typical TER for PPh 21?
A: The TER varies based on income brackets (5%-30% progressive rates) and personal circumstances (marital status, dependents).

Q2: How do I find my effective tax rate?
A: You can calculate it by dividing your annual tax amount by your annual gross income, or consult a tax professional.

Q3: Does this include all tax deductions?
A: No, this is a simplified calculation. Actual PPh 21 considers PTKP (non-taxable income) and other deductions.

Q4: Is this calculator official?
A: No, this is for estimation only. Always consult the official tax office or a tax professional for official calculations.

Q5: Can I use this for monthly salary calculation?
A: Yes, but you'll need to use monthly figures and ensure your TER is adjusted accordingly.